Intel gets interim relief as NCLAT stays ₹27.38 crore CCI penalty
NEW DELHI: The National Company Law Appellate Tribunal (NCLAT) on Thursday directed Intel Corp. to explain to consumers that its India-specific warranty policy for boxed microprocessors has been withdrawn. ₹27.38 crore penalty imposed by the Competition Commission of India (CCI).
Delhi bench of the court is hearing Intel’s appeal against CCI’s February order 2026 The order asked the company to submit a plan explaining how it would communicate the change.
Stating that Intel had already deposited 25% of the amount, he granted temporary relief by withdrawing the penalty and suspending any coercive action until the next hearing. The case will be discussed on April 23.
The instruction to publicly disclose the withdrawal is important because the policy impacts retail buyers, including individual users, gamers, and computer manufacturers, by clarifying warranty coverage.
Questions sent to Intel seeking comment remained unanswered by press time.
Boxed microprocessors are CPUs sold in retail packaging, often bundled with components such as a cooling system, and backed by warranty support. These differ from processors sold in bulk to computer manufacturers, which generally do not carry a direct-to-consumer warranty.
The case stems from a complaint by Matrix Info Systems Pvt. Ltd objected to Intel’s India-specific warranty policy introduced in 2016. Under the policy, warranty services in India were available only for processors purchased from authorized local distributors. Products purchased from authorized dealers abroad through parallel imports were excluded, requiring customers to seek support in the country of purchase.
The complainant argued that the policy was discriminatory and anti-competitive, disincentivized parallel imports, limited consumer choice and created market barriers. He also claimed that Intel, which dominates the boxed microprocessor segment, used this policy to bolster its authorized domestic distribution network.
Prima facie, the CCI ordered an investigation in 2018. In its decision on February 12, the regulator found that Intel has a dominant position in the boxed desktop microprocessors market in India.
CCI found the India-specific warranty policy to be discriminatory compared to practices in other countries and said it restricted consumer choice and limited parallel imports. The court ruled that the behavior amounted to an abuse of dominant position under Article 4 of the Competition Act.
Noting that the policy has been in effect for approximately eight years, CCI cited mitigating factors, including Intel’s decision to discontinue this policy as of April 1, 2024. ₹27.38 crore and directed the company to announce the withdrawal and submit a compliance report.
Intel moved the court on April 2.
Intel has faced numerous antitrust actions around the world. In December 2025, it lost its case against a €376 million antitrust fine imposed by the European Union in 2023 for restricting competitors, but a European court reduced the fine. The case follows a €1.06 billion fine imposed in 2009 in connection with conduct against rival Advanced Micro Devices.
According to Grand View Research, the global microprocessor market was valued at approximately $118.3 billion in 2023 and is expected to reach approximately $196.5 billion by 2030, highlighting the scale of the industry.
